Todd McIndoo is a Vice President at Speedy - National Association ...

I just got word that Allstate is at itagain. The second letter for performance,or lack thereof, is being sent out on September30th. Since I expect to receive thesecond letter, I have a couple of questionsfor you. First, I have my book up for sale,but if I can’t sell it, can I settle for theTPP? How do I go about it? Second, Ihave heard that the TPP may be discontinuedin 2010, is this just a rumor?Editor’s response: If you cannot sell, youwill automatically receive the TPP instead.The Human Resources department will bein contact with you – they will want an addressto send the payments, as they do notEFT the deposits. The TPP is paid to you in12 monthly installments, beginning about 7weeks after your termination date.We do not know if the TPP will be discontinued– this may be a rumor, or it maybe valid. The company can elect to discontinuethe TPP at any time.. . . . . . . . . . . . .I was just visited by my MSL regardingmy relocation to space upstairs frommy current location. I bought a bookearly this year and have decided to hirenew staff and upgrade the office.I was told today that everyone who isrelocating, buying a book of business or isa new agent MUST purchase the BrandedRetail Environment. I am now expectedto pay $3,000 for ugly furniture that doesnot fit the office color scheme or design.They are also expected to rent retail spaceonly, no more office buildings.The yellow wood does not go with thecherry wood of the new desks. The “reception”desk is 4 feet tall and not conduciveto conducting business. Since I donot have non-producers, this is not acceptable.Also, the hanging light is unattractiveand will not be seen through thetinted glass. Not to mention that I amsupposed to pay for the additional wiringand electricity to light the silly thing.My MSL told me, “The idea is to makeevery office look the same, like McDonlettersto NAPAALetters continued from page 12.Well, the ALI survey has been completed.I’m sure that agents across thecountry are anxiously awaiting the resultsto see if they’ll still have jobs. It is hard tobelieve that the company will actually usethis flawed approach to deprive agents oftheir livelihoods. It seems pretty clear tome that the survey is statistically invalid.How can the company base its assumptionson such infinitesimal numbers? Myguess is that management is simply usingthe ALI as another excuse to fire moreagents, further reduce agent incomes,and create a scapegoat (the agency force)to shift the blame for its eroding PIF.Needless to say, the survey does notencompass the public’s perception ofAllstate as a company gone wild with arrogance,self-adulation and questionablebusiness practices. From Florida, wherethe company refused to provide documentsrequested by the state, to the actionsthat led Dan Berardinelli to writethe discomforting exposé From GoodHands to Boxing Gloves, to the actionsin New Jersey in the early 90’s that culminatedin the company’s announcementto leave the state, to its decisionto non-renew hundreds of thousandsof property policies countrywide due toits self-induced over-exposure in coastalstates, etc., the company has done a brilliantjob of alienating the public with itsongoing anti-consumer actions.However, in spite of all this I trulyapplaud Allstate’s efforts, however misguided,to help us improve customerloyalty. As agency owners, we need allthe help we can get in the current environment.I am also open to the valueof statistics from the macroscopic view ofa state or a region, but singling out andterminating individual agencies is justplain wrong. The current ALI processneeds an overhaul to better reflect themacro trends that are occurring amongAllstate customers. Once we are certainof what those trends are, we can begin toaddress them in a business-like mannerinstead of firing people.. . . . . . . . . . . . .alds.” I responded, “Fine, you pay for itand I’ll take anything you give me. Butdo not ask me to pay for something I donot want.”For this reason I will be sending in mymembership via FedEx.. . . . . . . . . . . . .Agents in HRM states and countieslose a lot of autos when Allstate dropshomeowner policies due to hurricanerisk management. These auto losses arecounted against our retention. I’m curiousas to whether we have legal recoursewhen our bonuses are directly impactedby these retention reductions. This isthe company’s doing not ours and weshouldn’t take a financial hit and thus bepunished for it. Your thoughts?Editor’s response: While you raise an interestingpoint, it would probably be a difficultchallenge in a courtroom. Only the lifeand EB components are consistent across thecountry. The Growth, Profitability and Retentioncomponents of the RFG are adjustedby market, so it is likely they were adjustedin your region/market, as well.. . . . . . . . . . . . .In November, I was visited by my “manager”and was told that that reducing theagency force in the Capital Region hasfinally come. Here in the Capital Regionthe plan is to reduce the agency force overthe next 12 to 24 months. The first waveof letters will be sent out in February toagents who haven’t met their quotas.Sadly, I will be on this list unless I sell30 auto applications and $15,000 by December31, 2009. The rest of the manager’svisit was telling me how I can sell mybusiness. I said that I would prefer to tryto meet the quotas.I haven’t seen this information publishedby the region, so I want otheragents to know what’s coming. Maybe ifthey are given more then 7 weeks noticethey will have an opportunity to keeptheir agencies. In the meantime, maybe58 — Exclusivefocus Winter 2009/2010